EFCC Explains Why It Froze Osun Government Account, Cites Probe Into Alleged ₦11 Billion Fraud

The Economic and Financial Crimes Commission (EFCC) has defended its decision to freeze the bank account of the Osun State Government, saying the action was taken to prevent what it described as suspicious movement of public funds amid an ongoing investigation into the state’s finances.

In a statement issued on Wednesday, the anti-graft agency said it had been investigating the Osun State Government since March 2026 over the alleged handling of Ecology Funds, Intervention Funds and allocations from the Federation Account Allocation Committee (FAAC).

According to the EFCC, investigators are probing alleged financial transactions amounting to about ₦11 billion, with several state officials, including the Accountant General, already questioned as part of the investigation.

The commission stated that it did not initially consider freezing the state’s account but changed its position after allegedly detecting large transfers from the account beginning on August 2.

It claimed that funds were being moved into several corporate accounts considered suspicious, prompting the agency to issue a Post No Debit (PND) order to halt further transactions.

“The Commission noticed huge transfers of funds into different corporate entities and had to swiftly halt the trend by freezing the accounts from which such heavy funds are being moved,” the statement read.

The EFCC maintained that the action was taken under its preventive powers to safeguard public resources and insisted it could not ignore what it believed was an attempt to divert state funds.

Responding to criticism linking the account freeze to the forthcoming Osun governorship election, the commission denied any political motive.

It said the timing of the election could not prevent it from carrying out its statutory responsibilities.

“The Commission is fully aware of the impending governorship election in Osun State, but it has a responsibility to act in defence of the sanctity of public funds,” it stated.

The anti-corruption agency also disclosed that Osun is not the only state currently under financial scrutiny, noting that investigations involving several other state governments are ongoing as part of efforts to promote accountability in the management of public resources.

The EFCC further rejected allegations that its actions were politically motivated, insisting that it remains non-partisan and acts solely in the interest of protecting public funds.

“The Osun State Government account was frozen to save public funds from being looted,” the commission added.

The latest statement comes hours after Osun State Governor Ademola Adeleke accused the EFCC of freezing the state’s account without a court order, describing the move as unconstitutional and a threat to democracy.

The governor had challenged the commission to publicly explain the legal basis for its action, warning that federal agencies must not undermine the constitutional rights of state governments.

The disagreement has intensified political tensions in Osun State ahead of the August 15 governorship election, with both the state government and the EFCC defending their respective positions.

As of the time of filing this report, neither party has indicated whether the dispute will be resolved through the courts.